7. The following are budgeted data: January February March Sales in units 15,000 20,000 18,000 Production in units 18,000 19,000 16,000 One pound of material is required for each finished unit. The inventory of materials at the end of each month should equal 20% of the following month's production needs. Purchases of raw materials for February should be: The following are budgeted data for the Carol Company, a merchandising company: Budgeted Sales (at retail) January $300,000 February $340,000 March $400,000 April $350,000 Cost of goods sold as a percentage of sales is 70%. The desired ending inventory is 80% of next month's sales. 8. Assuming that the Carol Company had inventory on hand of $70,000 (at cost) on January 1, the purchases for January (at cost) would be